The National Government has marked yet another dubious economic milestone – a fifth deficit in a row – while widening the two-speed economy it created, says Labour Finance spokesperson David Parker.
“John Key and Bill English talk a lot about budget surpluses, which is surprising given they have never run one. They have run five budgets with five deficits.
“In contrast the last Labour government ran nine surpluses in a row, with a far better record on growth.
“It is good that the Government will return to surplus in 2014/15, we would too. But it’s just part of what is needed for the country.
“National’s mismanagement of the economy isn’t creating the jobs, innovation and opportunities New Zealand needs. Instead it is creating a two-speed economy that is hurting too many Kiwis.
“This is a two-speed economy where the property speculators cream huge profits, while the door is slammed shut on the home ownership dreams of thousands of first home buyers. We see speculator industries succeed while manufacturers and exporters lay off workers.
“This is a two-speed economy where older New Zealanders’ income rises, while the young struggle with falling wages. It is one where neglected regions haemorrhage jobs and skilled people because the Government’s eye is only on Auckland voters and the Christchurch rebuild.
“National’s obsession with crony capitalism and corporate welfare rewards its rich friends while the rest of New Zealand pays the price.
“John Key thinks the economy is going well. That shows he doesn’t understand how hard it is for Kiwis struggling to make a living. He is far too out of touch, David Parker says.
7 October 2013 MEDIA STATEMENT